Junta Pressures Businesses on Power Use

Private businesses in Burma are under new pressure from the ruling military regime for over-consumption, reliable sources said. The crackdown follows an announcement made at a press conference on September 25 that Rangoon could enjoy a 24-hour power supply. Authorities in Rangoon are keen to control power levels and ensure users don’t consume too much. "Due to this operation by the junta, some businesses, including private hospitals, have to make repayments for their evasion of electricity charges following the official rates in the past," says a Rangoon businessman who runs a fast food outlet. "Sakura, a private hospital in Sanchaung Township, repaid about 6 million kyat ($1 = 1,220 kyat) as compensation for avoiding charges," he said. Some companies avoid the high price of power by exchanging bribes with authorities. Now with the junta’s crackdown, there are penalties for those who evaded the charges. According to the state-run newspaper, the Dry Day Supervisory Committee was set up to inspect the systematic consumption of electricity and fuel to avoid the corrupt use of resources. The Rangoon businessman said the operation unit randomly inspects private companies and factories inside and outside Rangoon, without letting township authorities know. Otherwise, authorities believe township authorities would inform local businesses in advance, because of the network of bribery that exists. At any rate, the junta’s announcement has eased tensions among many people in Rangoon. At the moment, a severe economic crisis is taking its toll on many and political problems. These days, people in Rangoon have access to power all day long, a change from ongoing electricity shortages in the past. "We can access 24-hour power supply," says a Rangoon resident. "Now the electricity flows almost regularly." The junta has not only cracked down on private companies but also on government offices. Since late last month, the junta reportedly ordered its ministries to turn off electric lights, fans and air-conditioners during the day to reduce power consumption. A civil servant said: "The government keeps saying and announcing in the newspaper, ‘use natural light or use electricity only when necessary’." The crackdown extends to fuel as well. The junta recently barred the Nila Yoma Fuel Company from trading in diesel and petrol. The Nila Yoma Fuel Company was owned by Aung Ko Win, known as Sayar Kyaung, who is close to Gen Maung Aye. Aung Ko Win is also chairman of Kanbawza Bank.